"The sales, some including no-interest financing from the agency, are part of an FDIC effort to clean out $40 billion of loans that regulators seized from failed banks. Starwood Chief Executive Officer Barry Sternlicht told potential investors in February it’s “very hard to lose money” on the deals."

These deals seem to be setting up big boys vs big boys. It seems to be the right thing to do. Banks can't or won't deal with these failures so turning them over to the vultures is probably expedient. I'm glad the government isn't playing chump again, let's hope this becomes a trend. Permalink